NEW DELHI — Motorists and commercial vehicle operators in the national capital are facing a fresh burden as compressed natural gas (CNG) tariffs have witnessed a steep increase of Rs 6 per kilogram over an eleven-day period ending May 26. The fuel, which stood at Rs 77.09 per kg prior to May 15, has now reached Rs 83.09 per kg, marking a nearly 7.8 per cent jump in retail prices.

The escalation in CNG rates comes amid broader volatility in energy markets and ongoing adjustments in domestic gas pricing mechanisms. Delhi, which has one of the largest CNG-powered public transport and auto-rickshaw fleets in the country, is particularly vulnerable to such price fluctuations. The city's shift towards cleaner fuel alternatives over the past two decades has made CNG integral to its transportation ecosystem, with lakhs of vehicles dependent on this fuel source.

Industry observers suggest that revisions in administered pricing mechanisms and changes in input costs for gas distribution companies may be contributing factors behind the tariff adjustment. The increase is expected to have a cascading effect on transportation costs across the capital, potentially impacting fares for commuters who rely on CNG-powered public transport and shared mobility services.